Kenya’s Parliament has annulled a government directive mandating the use of the electronic procurement system (e-GP) across all public institutions, setting up a direct clash with President William Ruto’s administration over the digital reform.
In a resolution tabled by the Committee on Delegated Legislation, chaired by Ainabkoi MP Samuel Chepkonga, lawmakers faulted the Public Procurement Regulatory Authority (PPRA) for issuing Circular No. 04/2025, which sought to enforce exclusive use of the e-procurement portal.
The fresh directive issued by PPRA Director General Patrick Wanjohi on 12 August 2025, enforces the exclusive use of the new Electronic Government Procurement System (E-GPS).
Circular No. 04/2025, addressed to all state organs and county entities, warns that officers who approve purchases outside the platform will face personal surcharges, while payments for non-compliant contracts will be withheld.
The regulator further alleged that some public bodies have attempted to bypass the rules by backdating procurement proceedings to before June 30, 2025, the cut-off for manual tenders.
PPRA said it holds a complete record of contracts reported in the 2024/25 financial year and only those duly filed will be cleared for payment.
It reminded accounting officers of their obligations under Article 227 of the Constitution to ensure public procurement remains transparent, fair, and cost-effective. The circular was copied to Parliament, principal secretaries, vice chancellors, county executives, and heads of state corporations.
MPs argued that the directive contravened both the Constitution and the Public Procurement and Asset Disposal Act.
“This circular makes an attempt to exercise statutory powers that this House is supposed to perform, and imposes obstacles with no basis in law. For example, declaring manual tenders illegal is unconstitutional,” Chepkonga said.
Minority Leader and Suna East MP Junet Mohammed warned the Executive against overreach. “This is why Iam telling you MPs relax. The Executive will know that this House has powers,” he said.
In his earlier communication, President Ruto strongly defended the digital shift, arguing it will reduce corruption and waste, backing the Treasury’s plans to operationalize the system from July 1, 2025.
Treasury Cabinet Secretary John Mbadi told Parliament during the 2025/26 budget presentation that the government had allocated Sh700 million to fully roll out the e-GP system.
He noted that 400 procurement officers and suppliers from both national and county governments had already undergone training.
“The government is committed to enhancing transparency, accountability, and efficiency in public procurement,” Mbadi said. He added that digitisation could save the government up to 10 per cent of its total procurement budget.
However, MPs insist the PPRA acted outside its mandate by issuing binding regulations without parliamentary approval, setting the stage for further confrontation between the Legislature and the Executive over the control of Kenya’s procurement systems.
